10 Consider the following two mutually exclusive projects: Year Cash Flow (A) Cash Flow (B) e $ 215,000 -$ 57,000 1 34,000 32,900 2 45,000 51,000 270,000 24,300 18,300 17,800 3 4 The required return on these investments is 13 percent. a. What is the payback period for each project? Note: Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16. b. What is the NPV for each project? Note: Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16. c. What is the IRR for each project? Note: Do not round intermediate calculations and enter your answers as a percent rounded to 2 decimal places, e.g., 32.16. d. What is the profitability index for each project? Note: Do not round intermediate calculations and round your answers to 3 decimal places, e.g., 32.161. e. Based on your answers in (a) through (d), which project will you finally choose? a. Project A Project B b. Project A Project B c. Project A Project B d. Project A Project B e. Project acceptance. 3.31 years 1.99 years % Consider the following two mutually exclusive projects: 10 Year 2 Cash Flow (A) -$215,000 34,000 45,000 51,000 Cash Flow (B - 57,000 32,906 24,300 18,300 17,800 270,000 The required return on these investments is 13 percent. a. What is the payback period for each project? Note: Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16. b. What is the NPV for each project? Note: Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16. What is the IRR for each project? Note: Do not round intermediate calculations and enter your answers as a percent rounded to 2 decimal places, e.g., 32.16. d. What is the profitability index for each project? Note: Do not round intermediate calculations and round your answers to 3 decimal places, e.g., 32.161. e. Based on your answers in (a) through (d), which project will you finally choose? Project A Project B b. Project A Project B e. Project A Project B d. Project A Project e. Project acceptance 2.31 years 1.99 years %